Schroder has purchased an office asset in Paris for €30.1 mln, reflecting a net initial yield of 9.5%.
'This is the company’s eighth investment and our second in Paris, the largest and most liquid commercial real estate market in Continental Europe,' Sir Julian Berney, non-executive chairman of the company commented. 'We are pleased to add to our existing office exposure in Paris and regard this investment as complimentary to the portfolio, particularly in tenant diversity and at a return profile that is accretive to income distribution,' he added.
The property is located to the west of the city in the Saint Cloud district, a densely populated are destined for a new Grand Paris public transport connection in 2025. The building is fully income producing and comprises part of an established office complex.
The deal should complete at the end of December 2016.
